Japan's PM Ishiba to quit after election drubbing and Trump trade deal, source
The decision comes as Ishiba finalised a trade deal with U.S. President Donald Trump, lowering tariffs on Japanese autos and avoiding new levies.
Ishiba delayed his resignation to ensure stability ahead of the August 1 trade deal deadline, the source said.
His departure, less than a year into office, will spark a leadership contest within the ruling Liberal Democratic Party (LDP).
The party faces growing competition from new political groups, including the far-right 'Japanese First' Sanseito, which expanded its upper house seats from one to 14 in Sunday's election.
The Sanseito party gained traction with promises to reduce immigration, cut taxes, and ease financial pressures on households. Ishiba, who defeated conservative rival Sanae Takaichi in last year's leadership race, will leave the LDP without a parliamentary majority in either house.
His successor must secure opposition support to become prime minister.
The next LDP leader is expected to focus on rebuilding party appeal before calling a general election, the source added. - Reuters
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